Purchase Plus Improvements Program: Fund The Cost Of Renovations With Less Than 20 Percent Down
If you are looking to get into your new home or condo but need some work done, the purchase plus improvements mortgage might be just the solution. It allows buyers to borrow up to $60,000 that they can spend on renovations to be completed within the first 90 days of moving into their home.
Here's how the program works:
Even if you have less than a 20 percent down payment, you could still qualify for the additional funds. Let's say you are approved for the maximum "purchase-plus improvement" amount of $60,000. In this case, you will have to front the costs of renovations, and then once completed within 90 days of moving in–and verified by a home inspection – your real estate lawyer will release the funds to you. Your total mortgage loan will now include the $60,000 that was given to you for the renovations!
The "Purchase-Plus Improvement" program is an excellent option for those borrowers who want to renovate their home, but don't have more than a 20 percent down payment or don't have additional funds to renovate, and want to borrow them at the lowest interest rate possible.
Here's how the program works:
Even if you have less than a 20 percent down payment, you could still qualify for the additional funds. Let's say you are approved for the maximum "purchase-plus improvement" amount of $60,000. In this case, you will have to front the costs of renovations, and then once completed within 90 days of moving in–and verified by a home inspection – your real estate lawyer will release the funds to you. Your total mortgage loan will now include the $60,000 that was given to you for the renovations!
The "Purchase-Plus Improvement" program is an excellent option for those borrowers who want to renovate their home, but don't have more than a 20 percent down payment or don't have additional funds to renovate, and want to borrow them at the lowest interest rate possible.
